Walgreens Boots Alliance (WBA) shares "have run too far" on speculation surrounding a potential take-private deal with Sycamore Partners, Deutsche Bank said in a Thursday note, citing a Financial Times report.
Citing sources with knowledge of the details, the Financial Times reported Thursday that a buyout of Walgreens would set the stage for a three-way split of the company, with the funding for taking it private not expected to be difficult following weeks of talks with Sycamore.
"The article notes financing is in place (not a surprise to us), but the deal strikes us as incredibly complicated and unlikely to be consummated at a premium to the current share price," Deutsche Bank said.
The bank described the deal as "highly difficult," noting that Walgreens' core US business is "especially challenged."
Deutsche Bank downgraded the company to sell from hold and cut its price target to $9 from $11.
The shares of Walgreens Boots Alliance were down nearly 3% in recent trading.
Price: 10.92, Change: -0.31, Percent Change: -2.76
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。